No, it isn't. Generic solutions are dead. Soulless theming and quick skinning are dead. Our solutions have to be better and smarter. Less templates, frameworks and trends and more storytelling, personality and character. Users strive for good stories and good photography; they appeal for good visuals and interesting layouts; they can't wait for distinctive and remarkably delightful user experiences. And that should be exactly our strategy to create websites that stand out.
There are way too many badly designed experiences out there, and there is so much work for us to be done. Proclaiming our craft to be dead is counter-productive, because we showed to ourselves and everybody out there what we are capable of. Last fifteen years of web design were nothing but outstanding in innovation and experimentation. And it's not about to stop, it's just not who we are.
If we can't produce anything but generic work, other creatives will. The web has to get better, and it's our job to make it better. Nobody said that it's supposed to be easy though; if we don't adapt our practices and techniques, we'll have to give way to people who can get it done better than we do—but web design itself isn't going anywhere any time soon.